Koch Planning Exploration in Big Horn Basin

Washakie County, Wyoming

Koch Exploration (Koch), Denver, is awaiting state approval to drill a shallow wildcat on the southwestern flank of the Big Horn Basin, some 25 miles southeast of Worland, Wyo. The firm has surveyed in location for Lupton #1, se-ne 11-46n-89w, Washakie County. Projected to a vertical depth of 4,039’, this prospect will evaluate the vertical sections of both the Pennsylvanian Tensleep and Mississippian Madison. If approved, the Lupton #1 will be the third prospect planned by the independent in the Big Horn Basin, with the other two spotting in neighboring Big Horn County.

There are two dry holes in the same section as the proposed Lupton #1 staking. Immediately to the north, Wind River Oil drilled a Tensleep test at the Federal #1, se-ne 11-46n-89w. With no cores cut or tests conducted, this well was abandoned in 1954 at a depth of 2,899’. Measured beneath a ground elevation of 4,785’, log tops of the Federal #1 include the Curtis at 1,750’, Alcova at 1,810’, Dinwoody at 2,550’, Phosphoria at 2,605’, and the Tensleep came in at 2,866’.

Less than a mile southwest of the pending Koch staking, Conoco Inc. punched in a Pennsylvanian attempt at the Federal W-#03001A-1, sw-sw 11-46n-89w. This test achieved a total depth of 6,843’ in the Tensleep and was abandoned in 1956 with no significant shows encountered. It is interesting to note the Tensleep formation in the Conoco well is almost 500’ deeper than the anticipated Tensleep target in the Koch prospect, even though the two tests sit within a mile of each other.

A half-mile southeast of the Kellogg #W-16641-1, Production Services and Equipment attempted to find Pennsylvanian reserves at the Government #1, ne-sw 13-46n-89w. Drilled to a depth of 3,420’, this Tensleep wildcat was abandoned in 1926 with no shows indicated.

If approved, Koch’s staking will be the company’s third prospect scheduled in the Big Horn Basin in 2017. The operator recently revealed plans to evaluate the horizontal potential of the Upper Cretaceous Frontier at the DCU #1H, sw-sw 14-50n-95w, Big Horn County. Scaling some 35 miles southeast of their Lupton #1 prospect, the DCU #1H is an unconventional Frontier test aiming for a bottom-hole location in the ne-ne 26-50n-95w. True vertical depth for this attempt will be 12,066’, with a horizontal segment permitted to achieve a true measured depth of 19,683’.

Less than 2 miles northwest of the DCU #1H, Koch has permitted another horizontal Frontier venture at the Fritz Federal State #16-44H, sw-sw 9-50n-95w. This effort is projected to evaluate the Third Bench of the Frontier at a true measured depth of 17,816’; vertical depth is scheduled for 12,385’. Bottom hole for the attempt is expected to land in the se-se 16-50n-95w.

As noted, the DCU #1H and the Fritz Federal State #16-44H are both horizontal prospects, and whichever is drilled first will represent Koch’s first lateral attempt in the state of Wyoming. Both of these unconventional wells are assigned to Fritz Field, a multi-pay oil reservoir that hasn’t produced for more than six years.

Discovered in 1982, Fritz Field has produced at least 95 k bo and 1.5 bcfg from the Dakota, Frontier, and Muddy.

The most recent Wyoming exploration by Koch is also in the Big Horn Basin. Some 10 miles northeast of their pending Lupton #1, the company drilled and completed a vertical Permian Phosphoria test at the Hickory #1, sw-sw 3-47n-90w. This northeastern stepout to Cottonwood Creek Field was given an IPP of 48 bo and 6 mcfgpd from open-hole Phosphoria perforations at 3,886’–3,900’. Shut-in since July 2013, the Hickory #1 has produced just 468 bo.

Cottonwood Creek Field, which is the nearest established production to Koch’s proposed Lupton #1 staking, is a huge stratigraphic trap that produces from the Phosphoria, Frontier, and Tensleep. Following its discovery in 1953, this reservoir has cumulated more than 67.8 mmbo and 68.3 bcfg. Cottonwood Creek Field is unique in the sense that it has a vertical oil column that extends for at least a mile. Some wells in this pool produce from the Phosphoria at depths near 5,000’, while others reach deeper than 10,000’.